Salt Lake City Homes and Utah Homes Additional Free Resources

Salt Lake City condos harder to finance due to elimnation of spot approvals

March 2nd, 2010

FHA loans have been the recent choice for low down payment residential buyers offering loan programs that require just 3.5% down.  Recently FHA decided that they will only lend on condos that are on the FHA approved condo list.  FHA use to allow for spot approvals if a condo was not on the list and this policy changed in February 2010.

So now buyers of condos not on the FHA approved list will need to go with a conventional loan and unfortunately that means a bigger down payment and higher credit requirements.  I’ve checked with lenders I frequently work with and 10% down is a possibility if you have really good credit, but it’s not easy to find and many lender require 20% down for a Conventional condo loan.

This will decrease the number of buyers for condos in projects that are not FHA approved which will most likely effect values in these condo projects.  FHA approved condos may end up actually benefiting from this and there may be more demand for inexpensive single family homes too, but that’s yet to be seen.

The Salt Lake City real estate market is constantly changing.  If you need help with the purchase of a Salt Lake City home, condo or duplex, contact me.  I’ve been a local Realtor for 10 plus years and over the last year, 80% of my client have been buyers.

Kevin
Kevin Coyle
Associate Broker, GRI, MBA
Kevin@SLCHomeBuyer.com
801-243-0699 (Mobile)
Stonebrook Real Estate

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Utah still growing fast! Long term outlook for Salt Lake City real estate market

January 26th, 2010

I was down in Sandy last week right before sunset at a friends house with a view.  I noticed that the gap between Herriman, Riverton and South Jordan has shrunk quite a bit over the last 10 years, filled in with homes and businesses.  Most of that growth occurred prior to Summer 2007 while the market was booming.

According to the 2010 Utah Econocmic Summary put out by the Governor’s office, the state of Utah had the second fastest population growth rate in the nation, at 2.1%. 

This growth is second only to our neighbor to the East, Wyoming.  In 2009, Utah had a popultation of 2.8 million.  Wyoming had only about 532,000 people.  The average U.S. state is growing at a rate of 0.9%.  Utah is more than double that!  So we’re growing pretty fast.

The projections for population in Utah by 2020 is 3.7 million people.  The average person in Utah is 27 years old. 

Considering that between 75 and 80% of the population currently live on the Wasatch Front and about 35% of the population live in Salt Lake County, it seems like our long term outlook for the value of real estate in Salt Lake and the Wasatch Front is good, because demand will likely be there.

Eventually young people buy homes and the first time home buyer creates more opportunities for current home owners to move up or down.  In time our down market will change and demand for Salt Lake City homes will increase. 

Right now a smart buyer can get a lot home for the money compared to a few years ago and finance that Salt Lake City home at historically low interest rates.  It’s also possible to get up to an $8,000 tax credit.

One last thing and this is important.  The average person lives in their home for 5 to 7 years which from now would be 2015 to 2017.  So let me ask you 3 questions:

Do you think prices will be higher in 2015?

Do you think interest rates will be lower?

Do you think the federal government will be giving tax credits up to $8,000 if you buy a home?

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Posted in Home Buyer tax credit, Kevin Coyle, Salt Lake City homes, Salt Lake City real estate, Salt Lake County homes and condos | No Comments »

Salt Lake City Condos: Which SLC Condos are on the FHA Approved Condo list and why is this so important?

December 11th, 2009

Because of FHA we still have low down payment options, 3.5% down, for the purchase of owner occupied homes and condos in Salt Lake City and across the nation.  There has always been a list of condominium projects that were FHA approved and if the condo you wanted to buy was not in an FHA approved condo project, FHA would allow spot approvals, but thats about to change. 

 

Spot approval will be eliminated February 1, 2010.  Now the only way to buy a condo with an FHA loan, is if it’s on the FHA approved condo list.

 

 

Low down payment owner occupied Conventional Loans require at least 10% down and good credit.  With FHA, you can buy that condo with 3.5% down if it’s on the approved list and meets the other FHA requirements.

 

 

So is the condo you want to buy on the FHA approved condo list?  Here’s a link to the list:

 

https://entp.hud.gov/idapp/html/condlook.cfm

 

If you need help with the purchase of a Salt Lake City home, condo or duplex, please contact me.  I’ve been a Salt Lake City realtor for over 10 years and this year 80% of my clients have been Buyers of condos and homes in Salt Lake City metro area.

 

 

 

 

Kevin Coyle

Associate Broker, MBA

Stonebrook Real Estate

Mobile: 801-243-0699

Office: 801-466-8977

Kevin@SLCHomeBuyer.com

 

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Salt Lake City Homes: The Home Buyer Tax Credit has been extended for First Time Home Buyers and expanded to Repeat Home Buyers

November 9th, 2009

The $8,000 First Time Home Buyer tax credit has been extended.  In addition to the extension, an additional tax credit for Repeat Home buyers has been added up to $6,500.  The deadline for these two programs is to have a home under contract by April 30, 2010, and close it by June 30, 2010.  The First Time buyer’s has to have not owned a home which was a primary residence for the last 3 years.  The Repeat Home Buyers have to have lived in there home (primary residence) for at least 5 consecutive years of the last 8 years.

 

Also part of this bill, is an extension of the tax credit for military personnel that have served at least 90 days outside of the United States.  The deadline for this part is June 30, 2011.  This bill also contained a provision to extend unemployment by 14 weeks in all states and additional 6 weeks on top of that in states where unemployment exceeds 8.5%.

 

For details on the tax credits, go to: http://www.federalhousingtaxcredit.com/

 

If you need help with the purchase of a Salt Lake City home, condo or duplex, please contact me.  I’ve been a Salt Lake City realtor for over 10 years and this year so far, 80% of my clients have been Buyers of homes and condos in the Salt Lake City metro area.

 

Kev

 

Kevin Coyle

Realtor, Associate Broker, MBA

Stonebrook Real Estate

Mobile: 801-243-0699

Office: 801-466-8977

Kevin@SLCHomeBuyer.com

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Salt Lake City Homes: When looking at Salt Lake City Homes, search within your pre-approved price range.

October 16th, 2009

This may sound obvious, but here it is anyway.  Salt Lake City home buyers should look within their pre-approved price range. 

 

Here are some of the reasons I can think of:

  1. Why waste your time looking at Utah homes you can’t afford?
  2. Sometimes Salt Lake City home buyers qualify for more than they really want to spend.  What will you cut back in your budget for that more expensive home?
  3. You might miss out on a home within your price range that you didn’t see because you were wasting your time looking at ones you can’t afford.
  4. Why set yourself up for disappointment looking at homes you can’t afford?
  5. Sellers go out of their way to allow you to see their home, why inconvenience them?  If it’s an open house and you’re actively looking, take a look.
  6. Looking at homes is not a sport or a hobby. Go ride a bike, read a book, go to a movie and have fun!
  7. OK honestly, I can see if you can afford $200,000 that you might look at Utah homes up to $210,000 for purposes of negotiation, but beyond that probably not.

If you need help with the purchase of a Salt Lake City home, condo or duplex, please contact me.  I’ve been a Salt Lake City realtor for over 10 years and this year so far, 80% of my clients have been Buyers of homes and condos in the Salt Lake City metro area.

 

Kev

 

Kevin Coyle

Realtor, Associate Broker, MBA

Stonebrook Real Estate

Mobile: 801-243-0699

Office: 801-466-8977

Kevin@SLCHomeBuyer.com

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Salt Lake City condos: New FHA Financing requirements for condos go into affect November 2, 2009.

October 6th, 2009

FHA has delayed the changes to the requirements for financing condos out to November 2, 2009.  The date was October 1, 2009.

This will still likely have a negative effect on the value of Salt Lake City Condos, but some condo projects will be effected more than others.

I recently put a value on a condomimium in an upscale condo project where units are selling for $250,000 to $325,000 and noticed that all of the units that sold in that complex this year were purchased with conventional financing.  It seems like a unit in that complex would be effected less by these changes.

Time will tell how the value of Salt Lake City condos are effected by these changes.  Some projects will be effected more than others.

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Posted in FHA Loans, Salt Lake City condos, Salt Lake City real estate, Salt Lake County homes and condos, Utah Homes | No Comments »

Salt Lake City condos: New FHA Financing requirements for condos go into affect October 1, 2009. What are they and how will they affect the value of Salt Lake City condos?

September 9th, 2009

Starting October 1, 2009, HUD has new rules for FHA loans that will change the playing field for condo buyers, sellers and builders.  I just read the letter from HUD to FHA lenders and appraisers (MORTGAGEE LETTER 2009-19) along with some blogs on how this will affect the condo market.

 

The reason this is such a big deal is that right now an FHA loan is the only way to buy a Salt Lake City condo or home with a low down payment of 3.5%.

 

Here’s an overview of some of the requirements that a condo project will require to be eligible for FHA financing starting October 1, 2009.  I’ve made a few comments:

 

1.     At least 50% of the total units must be sold prior to endorsement of any FHA mortgage on a unit.  This will affect new construction!

2.     At least 50% of the units must be owner-occupied or sold to owners who intend to occupy the units.  There have always been owner-occupied rules for FHA.

3.     Projects of four or more units will have no more than 30% of total units insured by FHA.  Projects with three or less units will have no more than one FHA insured unit.  This is a big change!

4.     No more than 15% of total units can be in arrears (more than 30 days past due) of their condominium association fee payment.  Seems to make sense to me.

5.     No more than 25% of property’s total floor area can be used for commercial purposes.

6.     One investor may own no more than 10% of units.  This applies to developers/builders that rent vacant and unsold units.  This makes sense.

7.     For two and three unit projects, no single entity may own more than one unit; all units and common areas must be 100% complete; and only one unit can be conveyed to non-owner occupants.

8.     A current reserve study must be performed to assure that adequate funds are available for the funding of capital expenditures and maintenance.  A current study must be no more than 12 months old—if recent events or market conditions have affected the finished condition of the property that information must be included.  When reviewing the study, consideration must be given to items that have been replaced after the time that the reserve study was completed.  This makes sense to me.  Why should we lend money to buy condos in a condo project that isn’t properly managed?

9.     No more FHA Spot approval on individual condo units in non-FHA approved projects.  The project is either FHA approved or it’s not.  Seems like this is a safe approach for a big organization like HUD.

 

These new rules will most likely have a short term negative effect on the value of Salt Lake City condos and condos across our nation. 

 

 

New construction condos will be affected the most because 50% of the units will need to be sold before the condo project could become eligible for FHA financing.

 

Builders will need to make sure they have a way to finance the first 50% of the condo units they sell.  The builders will need to go out and find financing for their units and then once the units are half sold, FHA financing becomes available if they are approved.  This puts a lot more risk on the builders and their lenders and less on FHA/HUD.

 

These new rules will likely reduce the number of risky condo projects and the overall number of new condo projects being built.  Long term, condo inventories will decrease which should push values up.

 

Also, if you can’t buy a condo, you can still buy a single family home with an FHA loan.  Short term this could have a positive effect on the value of single family homes in Salt Lake City because more people will buy homes instead of condos.

 

During the last housing boom in Salt Lake City, 2005-2007, the value of homes out paced condos until the gap was big enough to pull condos up.  The same thing could happen again.

 

So short term the FHA loan changes for condos will probably have a negative effect on values, but long term this will probably lead to decreasing condo inventory which could have a positive affect on the value of existing condos.

 

This also could result in new loan products for condos with low down payments.  Also, FHA may modify these new rules as they see how it affects the condo market.  Rules can be changed.

 

If you need help with the purchase of a Salt Lake City home, condo or duplex, please contact me.  I’ve been a Salt Lake City realtor for over 10 years and this year 85% of my clients have been Buyers of homes and condos in Salt Lake.

Kevin Coyle

Associate Broker, MBA

Stonebrook Real Estate

Mobile: 801-243-0699

Office: 801-466-8977

Kevin@SLCHomeBuyer.com

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Salt Lake City homes and condos: Great Interest rates, Tax Credits for first time home buyers, Great Deals and Many Salt Lake City homes to choose from!

August 28th, 2009

So far this year, 85% of the clients I have worked with, have been Buyers.

 

All of them learned the market and then found the home or condo that they were looking for in the area that they wanted to live.  A couple of the Salt Lake homes and condos were unique properties that are hard to come by.

 

All of the clients got a fair deal on the home they chose.  A few of the clients got a great deal and went into their new Salt Lake home or condo with instant equity.  One client in particular went in with 20% equity if you compare the purchase price to appraisal.  Those deals aren’t easy to come by, especially on a dream home like this client bought.

 

All of the clients got an amazing interest rate.  Rates have been between 4.5% and 5.5% for most of the year.

 

All of the first time home buyers are getting a tax credit of $8,000.

 

History shows that the price of Salt Lake real estate goes up and down.  We’ve been going down for over 2 years now and eventually it will go back up.

 

History also shows that interest rates go up and down and right now they are very low.

 

One last thing I want to mention.  I was in a seminar last week and one of the big Utah home builders announced that they are going from 19 housing subdivisions in Utah to 40  by the first quarter of 2010.  They also said they are downsizing their homes, which makes sense.  I asked them who their economist is and they weren’t forthcoming with that information, but it made me think.

 

If you plan on spending the next 5 to 7 years in Salt Lake, you might want to start thinking about buying Salt Lake City real estate while it’s still a Buyer’s market and rates are low. 

 

If you already own a home, the gap in price between the home you own and the home you dream about is smaller than it was a couple years ago.

 

If you need help with the purchase of a Salt Lake City home, condo or duplex, please contact me.  I’ve been a Salt Lake City realtor for over 10 years and the majority of my clients are Buyers of homes and condos in Salt Lake.

 Kevin Coyle

Associate Broker, MBA

Stonebrook Real Estate

Mobile: 801-243-0699

Office: 801-466-8977

Kevin@SLCHomeBuyer.com

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Posted in Salt Lake City condos, Salt Lake City homes, Salt Lake City real estate, Salt Lake County homes and condos, Utah Homes | No Comments »

Salt Lake City homes and condos: Find out what areas have the most short sales in Salt Lake County

August 26th, 2009

I was searching for homes today on the Wasatch Front Regional MLS for one of the Buyers I’m working with and noticed a neighborhood that had an extremely high percentage of short sales.  41% of the homes in that neighborhood are short sales.

 

It made me stop and wonder about how many short sales are in other areas of Salt Lake County.  Here are the results of that search which includes Salt Lake County homes and condos in all price ranges.

                                               

City                                                       % short sales of Active listings

Salt Lake Aves/Cap Hill                                           3.9%

Salt Lake Central City/South Salt Lake                  10.6%

Salt Lake East City/Mill Creek                                  5.3%

Salt Lake Rose Park/Glendale                                  24.4%

Holladay/Cottonwood Heights                               10.6%

Murray                                                                         9.8%

Midvale/West Sandy                                                 15.6%

East Sandy                                                                  14.5%

Draper                                                                          23.5%             

West Valley City/Kearns/Magna                             27.4%

West Jordan/South Jordan/Copperton                   24.8%

Riverton/Herriman/Bluffdale                                     31.1%

 

Salt Lake County                                                       18.6%

 

*All data taken from Wasatch Front regional Multiple Listing Service on 8/26/09 on Salt Lake County homes & condos.

 

One thing that intrigued me was the closer you get to downtown Salt Lake City, the fewer short sales there are overall.  Yes, I live downtown, but that’s not why I was so intrigued. 

 

I have a theory.  During our last housing boom in Salt Lake County, 2005-2007, the areas that the majority of the residential new construction homes and condos were built were further away from downtown Salt Lake where the vacant land exists which is on the South and West side of Salt Lake County.

 

By early 2005, the cost of new construction in Salt Lake County was much greater than the cost to buy an existing home of comparable size and location.  This was due to the escalating cost of land, building supplies and a tight labor market.  Also during this time, money was easy to borrow regardless of your credit score so there were plenty of people who could buy.

 

The cost of existing homes in those areas quickly adjusted upward as a result of the increasing cost of new construction creating instant equity for those who bought before 2005.

 

But by 2007 there was 12 months of inventory in new construction, which is primarily located in the South and West part of Salt Lake County.  Then in August 2007 our banking crisis started which led to higher credit standards for home loans and fewer low down payment loan programs.

 

Two things I think happened here are there are many people who bought later in the boom and have now lost their job or had some other hardship.  If they bought with nothing down, and most did, they are upside down on their mortgage.  Short sale! 

 

The other thing I think happened is many people had their home value increase by $50,000 or more in less than a year and took some of their equity out to improve their home, buy toys or pay off other debts. Short sale! 

 

Eventually some of the short sales sell, some owner get loan modifications and some homes go into foreclosure. 

 

There are more theories that can be drawn from the varying percentage of short sales and if you look at smaller areas, some areas are higher and some are lower.

 

This something to consider when buying Salt Lake City homes and condos.

 

If you need help with the purchase of a Salt Lake City home, condo or duplex, please contact me.  I’ve been a Salt Lake City realtor for over 10 years and the majority of my clients are buyers of Salt Lake City homes and condos.

Thanks!

Kevin Coyle

Associate Broker, MBA

Stonebrook Real Estate

Mobile: 801-243-0699

Office: 801-466-8977

Kevin@SLCHomeBuyer.com

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Posted in Kevin Coyle, Salt Lake City condos, Salt Lake City homes, Salt Lake City real estate, Salt Lake County homes and condos, Short Sales, Utah Homes | 1 Comment »

Salt Lake City homes and condos: Are residential Short Sales harder to buy than non-short sale homes and condos in Salt Lake County?

August 18th, 2009

It seems like every buyer I meet wants to know about short sales and for good reason, they are a big part of the inventory of homes and condos in Salt Lake.  Most people think short sales are a great deal and some short sales are, but most are a challenge to buy.

 

Over the last few months, short sales on homes and condos in Salt Lake County have been harder to buy than homes and condos that are not short sales.  The table below compares homes and condos in Salt Lake County that are listed on the Wasatch Front Multiple Listing Service.  It shows the number of homes and condos that are Active, Under Contract and Sold in the last 90 days and compares short sales vs. non-short sales.

 

                                                Short Sales                     Non-Short Sales

Listing Status              Volume / % vs. Actives        Vol / % vs. Actives

Active Listings for sale           1,410                                       6,238  

Under Contract                          254 / 18%                             1,408 / 23%

Sold in the last 90 days             329 / 23%                             2,868 / 46%

*Data taken from Wasatch Front regional Multiple Listing Service on 8/18/09 for Salt Lake County homes and condos.

 

As you can see, a much lower percentage of short sales have been successfully sold over the last few months.  There are many reasons for this.

 

One is the length of time that the buyer must wait to buy most short sales.  The Buyer makes an offer to the Seller, a deal is struck and it is submitted to the bank.  A “short sale addendum” is used in the negotiation between Buyer and Seller which gives the lender third party approval.  This is used because the lender and mortgage insurance company have to agree to take a loss.  This is where the process typically slows down.  It can take weeks, months, and sometimes it never happens.  And it can get more complicated if there is a second mortgage.

 

So the Buyer is waiting for a response from the lender.  During this time there is the risk that other offers will be made on the property because it’s a long process. 

 

Some Buyer’s have a time frame in which they hope to move into their new home due to a lease expiring, a new job starting or some other reason.  With a short sale, it’s hard to know how soon you’ll be able to accomplish your move.

 

Finding a home you like is a challenge on its own.  Short sales frequently add to this challenge.  This is something to consider when buying Salt Lake City homes and condos.

 

If you need help with the purchase of a Salt Lake City home, condo or duplex, please contact me.  I’m an experienced Salt Lake City realtor and the majority of my clients are buyers of Salt Lake City homes and condos.

 

Kevin Coyle

Associate Broker, MBA

Stonebrook Real Estate

Mobile: 801-243-0699

Office: 801-466-8977

Kevin@SLCHomeBuyer.com

 

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How to Buy a Salt Lake City Home, Condo or Duplex if you lack the Down Payment and Closing Costs

July 23rd, 2009

Just a few years ago there were many ways to buy a Salt Lake City home, condo or duplex with no money down.  You could borrow 100% of the money you needed to purchase the home.  At that time, the market was going up and lenders were loose with their money.  Times changed quickly and those home loans are gone.

 

So how do you buy a Salt Lake City home, condo or duplex if you lack the down payment and closing costs?

 

FHA loans only require 3.5% down for the purchase a home, condo or duplex as long as the buyer intends to move in and occupy the home as their primary residence.

 

FHA also allows for a family member to gift all or part of the down payment and closing costs.  So if your mom, dad, grandpa, grandma or other family members are doing well, they can give you a gift for all or part of the down payment and closing cost for the purchase of your Salt Lake City home, condo or duplex.  It has to be a gift, not a loan.

 

Also, if you don’t have the closing costs, they are frequently negotiated into the deal so that the Seller pays all or part of the Buyer’s closing costs.

 

Regarding Salt Lake City condos, the condo project must be FHA approved to qualify for an FHA loan.  FHA might do a spot approval if the condo is not FHA approved, but that isn’t a sure thing.

 

And I mention again, the buyer must move into the home and occupy the property as their primary residence.  If you’re an investor breaking the rules and get caught, FHA will call the loan due and mess up your life, so please don’t do that.

 

If you need help with the purchase of a Salt Lake City home, condo or duplex, please contact me.  I’m an experienced Salt Lake City realtor and the majority of my clients are buyers of Salt Lake City homes and condos.

 

Kevin Coyle

Associate Broker, MBA

Stonebrook Real Estate

Mobile: 801-243-0699

Office: 801-466-8977

Kevin@SLCHomeBuyer.com

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Posted in FHA Loans, Kevin Coyle, Salt Lake City condos, Salt Lake City homes, Salt Lake City real estate | 2 Comments »

Business Week article (6/18/09) on Salt Lake City Real Estate and Housing Market

July 5th, 2009

This is a reprint of the Business Week article which I contributed too.  Young Buyers June 18, 2009, 5:00PM EST

Salt Lake City: A Still-Hot Housing Market

Millennials, their baby-boomer parents, and even retirees are keeping demand—and prices—high

Salt Lake City is one of the fastest-growing metropolitan areas in the country. But unlike other booming locales, Salt Lake has a largely homegrown citizenry—locals account for 88% of population growth. “Salt Lake City has a high rate of natural increases,” says Robert E. Lang, director of urban affairs and planning at Virginia Polytechnic Institute. “It’s a big family-friendly kind of place.”

The result is that Salt Lake City has a large and expanding pool of ready home buyers: Millennials, the generation born from the early 1980s to the ’90s. Utah, where the Salt Lake environs account for the bulk of the state’s residents, is the country’s youngest state, with a median age of 28.7 years, compared with 35.3 years for the country as a whole. Raleigh, San Antonio, and Colorado Springs also have youthful populations, whereas states such as Iowa, North Dakota, and Pennsylvania are aging fast.

The Millennials, aka Generation Y, will be one of the most powerful demographic forces to enter the housing market in the years to come. By some estimates, they’re expected to account for a third of all home buyers by 2015. They’re already out in droves, taking advantage of the $8,000 federal tax credit for first-time home buyers. “A huge cohort of first-time buyers will be in the market in the next five years,” says David W. Berson, chief economist at PMI Group (PMI), a company that covers banks against borrower default.

Gen Y buyers already have helped prop up the housing market in Salt Lake City. Home prices rose 51% from 2003 through 2008, compared with a roughly 2% drop for the U.S. as a whole. The young buyers’ impact is reflected, in part, in the type of sales: The low end of the market, say local real estate agents, accounts for much of the activity, while some multimillion-dollar homes have been sitting vacant for more than a year. Many properties “weren’t available to first-time home buyers a year ago,” says Kevin Coyle of Stonebrook Real Estate in Salt Lake. “With the downturn, they can now get something they can afford.”

When Gen Yers James and Carleigh Naylor got married last October, the couple moved into a dingy basement apartment they rented from an elderly man who lived upstairs. “It wasn’t glamorous,” says 24-year-old James, who works as a cabinet maker at his father’s shop. Earlier this year the young couple decided to buy their first home, a two-bedroom, one-bath on a cul-de-sac on the south side of town. They beat out six offers with a bid of $137,000—still well below the $230,000 median home price in Salt Lake.

Like many first-time buyers, the Naylors are tapping the new government programs designed to spur home sales. Along with the tax credit, they qualified for a federally backed mortgage, which requires less money up front. And a gift from relatives covered their closing costs and down payment. Says James: “We’re hoping to use this house as a stepping stone to get us into the next house three or five years from now.”

Salt Lake City, Utah

In a state where the median age is 28.7 years, Gen Y’s first-time buyers are propping up the home market

POPULATION

1,067,722

2007 MEDIAN HOME PRICE

$238,020

2008 MEDIAN HOME PRICE

$230,000

Numbers reflect metropolitan area; Data: Fiserv

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Posted in Kevin Coyle, Salt Lake City condos, Salt Lake City homes, Salt Lake City real estate, Salt Lake City realtor, Utah Homes | No Comments »

Business Week interviews Kevin Coyle about Salt Lake City real estate market

June 23rd, 2009

A few weeks ago I was contacted by a writer for Business Week magazine.  She found me on the internet through my web site, www.SLCHomeBuyer.com.

She interviewed me about the Salt Lake City real estate market and also interviewed one of the first time home buyers I’m working with that had just closed on their first home.  The article talks about the Salt Lake City real estate market and Generation Y first time home buyers.  We are a young state and the outlook is positive! 

Check it out!

 http://www.businessweek.com/magazine/content/09_26/b4137035256318.htm

If you need help with the purchase of a Salt Lake City home, condo or duplex, please contact me.  I’m an experienced Salt Lake City realtor and the majority of my clients are buyers of Salt Lake City homes and condos.

 

Kevin Coyle

Associate Broker, MBA

Stonebrook Real Estate

Mobile: 801-243-0699

Office: 801-466-8977

Kevin@SLCHomeBuyer.com

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Salt Lake City real estate: Becoming a Salt Lake City Realtor

June 21st, 2009

Becoming a Realtor in Salt Lake City seems easy at first.  Take 90 hours of classes (soon to be 120 hours), pass the state exam, get your real estate license and join a real estate brokerage.  Your on your way, right?

 

Sounds easy, but it’s far from easy.  First of all, you don’t get paid until someone buys or sells Salt Lake City real estate, and the brokerage takes a big chunk of that commission check.  No medical benefits, no sick time or paid vacations, and the bills keep rolling in. 

 

When I started I had enough money saved to cover my bills from many years of working in corporate America and my monthly overhead was low too.  If it wasn’t for that, I probably wouldn’t have made it.

 

I remember when I started I thought since I had experience in commercial real estate and a MBA, that everything would just fall into place.  I’ve made a good living being a Salt Lake City Realtor, but getting started was tough.

 

From the beginning, I’ve always worked with my client’s best interest in mind.  Patiently working with each client until they find what they want.  I don’t get to dictate when I make money, because it’s up to each client when they will buy.  I’m more of a guide than a salesman.

 

Much of what I’ve learned as a Salt Lake City Realtor has been from the 10 years of helping clients with their needs and doing transactions.  Most of these things are not taught, but they can be learned from hard work and putting in your time.

If you’re thinking about a career as a Salt Lake City realtor, here are some stats to consider from the National Association of Realtors (NAR).

The median income for a Realtor was $36,700 in 2008, down from $42,600 in 2007. Members licensed as brokers earned a median of $49,300 last year, while sales agents earned $28,400.

Realtors® in the business for two years or less earned a median of $8,600, while those with three to five years of experience earned $27,100. For six to 15 years, the median was $42,400, while members in the business for 16 years or more earned $53,900.

There were similar differences in income depending on the number of hours worked. Members who worked less than 20 hours per week earned a median of $8,200, while those who worked 60 hours or more earned $74,000. The typical NAR member has been in the business for 10 years, up from eight years in 2007.

If you need help with the purchase of a Salt Lake City home, condo or duplex, please contact me.  I’m an experienced Salt Lake City realtor and the majority of my clients are buyers of Salt Lake City homes and condos.

 

Kevin Coyle

Associate Broker, MBA

Stonebrook Real Estate

Mobile: 801-243-0699

Office: 801-466-8977

Kevin@SLCHomeBuyer.com

 

Source of the NAR data (5/13/09): http://www.realestaterama.com/2009/05/13/realtor-member-survey-shows-response-to-challenging-market-ID05347.html

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Salt Lake City homes: Inspecting the sewer line

June 16th, 2009

When a buyer goes under contract on a Salt Lake City home they intend to buy, they almost always have a physical inspection done by a professional home inspector.

 

Many of the older Salt Lake City homes have older mechanical systems.  A home inspector can inspect most of these systems for you, but not every system is visible to the eye, some are buried in walls or under the ground.

 

An additional inspection to consider when buying an older home in Salt Lake City, is a  lateral sewer line inspection done with a fiber optic video camera.  The lateral sewer line is the main sewer line that connects the home to the city sewer system.  This test is especially important if many drains are backing up in the home, if there are signs of a problem.

 

Some of the Salt Lake City homes built in the 1950’s and earlier have the original sewer line which is clay pipe with mortared joints.  Tree roots can grow in through the seams and cause an obstruction.  Because water flows in these pipes, the roots flourish and can form root balls.  Also, if one of the previous owners dumped grease or other junk down the drain that can clog it up too.

 

Clogs like these can often be solved by hiring a company to roto-root the sewer line and aren’t very expensive as long as the back up didn’t cause damage to the interior of the home.  The least you’ll spend though is a couple hundred dollars which is about what it cost to do the video inspection.

 

The problem might be more serious though, like a collapsed sewer line.  This can cost anywhere from $3,000 to over $8,000 depending on who does the work, how long the line is and whether it runs under driveways or sidewalks.  Also, some sewer lines are shared between two homes complicating it further with your new neighbor.

 

The cost for a video sewer inspection runs around $150 to $200 and can be well worth it.  There are many local plumbing companies that provide this service.  Of course you should do this test during the time for inspection when you are under contract, prior to buying the home so if it does have a collapsed sewer line, you don’t own it yet and you have options.

 

If you need help with the purchase of a Salt Lake City home, condo or duplex, please contact me.  I’m an experienced Salt Lake City realtor and the majority of my clients are buyers of Salt Lake City homes and condos.

 

Kevin Coyle

Associate Broker, MBA

Stonebrook Real Estate

Mobile: 801-243-0699

Office: 801-466-8977

Kevin@SLCHomeBuyer.com

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Posted in Home Inspection, Salt Lake City homes, Salt Lake City real estate | No Comments »

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